Spain’s National Police have dismantled a criminal organisation in the province of Alicante (Valencia region) that allegedly defrauded foreign nationals seeking to buy property, leaving some victims financially ruined and, in several cases, without a home.
According to police, the network operated through two real estate agencies and consisted of four employees who targeted foreigners interested in purchasing homes in Alicante. Victims were lured with offers of apartments at seemingly discounted or advantageous prices.
Once interest was secured, the buyers were asked to pay substantial reservation fees and deposits — in some cases totalling up to €100,000. They were then encouraged to sign documents that appeared official but were later found to be falsified or misleading.
Investigators say the suspects used contracts and manipulated bank simulations to give the impression that mortgage applications were viable, despite knowing that financing would ultimately be denied due to the victims’ financial circumstances. In other cases, the properties were not actually for sale.
When the time came to complete the purchases, the transactions collapsed. By that stage, the victims’ money was allegedly trapped in complex contractual arrangements that made recovery extremely difficult.
The police operation resulted in the arrest of four individuals — three Spanish nationals and a Colombian woman aged between 25 and 42. They are suspected of fraud, document forgery and coercion, while two of them also face charges related to offences against workers’ rights.
Investigators believe the group deliberately exploited the victims’ lack of familiarity with Spain’s property-buying procedures, as well as their vulnerable personal situations. Several of those affected had already vacated their rental accommodation in anticipation of moving into the homes they believed they had bought, increasing the pressure to proceed and making them more susceptible to the scam.
In some cases, victims reportedly exhausted their savings or took out personal loans to meet payment demands. Police say that, beyond the financial losses, the scheme caused serious personal and social harm, with some individuals left homeless after the deals collapsed.
The investigation was triggered by a complaint alleging that an employee from one of the agencies threatened and pressured a victim into signing the dissolution of a deposit contract, resulting in the loss of approximately €50,000 already paid.
As part of the operation, officers searched the real estate agency run by the main suspect, seizing documentation that helped establish how the scheme operated. One of the detainees, identified as the alleged ringleader, has been brought before a magistrates’ court in Alicante.
Police say the investigation remains open as they work to identify additional victims. Judicial authorities will now determine the full criminal scope of a case that once again places Alicante’s real estate sector under scrutiny.
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🚨💔 ¡Alerta en Alicante! La Policía Nacional ha desarticulado una banda de estafadores que manipulaba operaciones hipotecarias, dejando a varias víctimas en situaciones de extrema vulnerabilidad. ¿Qué opinas de estas estafas que arruinan vidas?… https://t.co/ftYKEMZkNI pic.twitter.com/2Z5GuCfVNd
— Alicante diario (@Alicante_di) February 23, 2026
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